SWK Holdings Corporation Resumes Share Repurchase Program

Rhea-AI Summary

SWK Holdings Corporation (Nasdaq: SWKH) has authorized a stock repurchase program of up to $5.0 million, effective until March 15, 2022. This initiative, executed through a 10b5-1 trading plan, aims to enhance shareholder value amidst ongoing strategic reviews. CEO Winston Black stated that the buyback represents an optimal use of capital during this period. The program could start as early as July 15, 2021, depending on market conditions and trading constraints.

Positive

• Authorization of a share repurchase program worth $5.0 million.
• Intended to maximize shareholder value.
• Demonstrates confidence in company's financial health.

Negative

• None.

DALLAS, June 23, 2021 /PRNewswire/ -- SWK Holdings Corporation (Nasdaq: SWKH) ("SWK" or the "Company"), a life science focused specialty finance company catering to small- and mid-sized commercial-stage companies, today announced that its Board of Directors has authorized the Company to repurchase up to an aggregate of $5.0 million of the Company's Common Stock from time to time until March 15, 2022 through a "10b5-1 trading plan" in compliance with Rule 10b-18 under the Securities Exchange Act of 1934. 

The actual timing, number and value of shares repurchased under the program will depend on a number of factors, including the constraints specified in the 10b5-1 trading plan, price, and general market conditions.  Pursuant to such Board authority, the Company adopted a written trading plan for the purpose of repurchasing shares of its Common Stock in accordance with the guidelines specified under Rule 10b5-1 under the Securities Exchange Act of 1934. Purchases under the 10b5-1 trading plan could commence as early as July 15, 2021, provided that the purchase parameters set forth in the plan are met. There is no guarantee as to the exact number of shares that will be repurchased under the trading plan.

Winston Black, Chief Executive Officer of SWK, commented, "While the Strategic Review Committee continues its work to identify, review and explore strategic alternatives for SWK with a view to maximizing stockholder value, we believe the repurchase of our shares remains an attractive use of our capital and is in the best interests of our stockholders."

About SWK Holdings:
SWK Holdings Corporation is a specialized finance company with a focus on the global healthcare sector. SWK partners with ethical product marketers and royalty holders to provide flexible financing solutions at an attractive cost of capital to create long-term value for both SWK's business partners and its investors. SWK believes its financing structures achieve an optimal partnership for companies, institutions and inventors seeking capital for expansion or capital and estate planning by allowing its partners to monetize future cash flow with minimal dilution to their equity stakes. SWK also owns Enteris BioPharma, whose Peptelligence^® and ProPerma™ drug delivery technologies create oral formulations of peptide-based and BCS class II, III, and IV small molecules. With Enteris, SWK has the opportunity to grow its specialty finance business by actively building a wholly-owned portfolio of milestones and royalties through licensing activities. Additional information on the life science finance market is available on the Company's website at www.swkhold.com.

Safe Harbor Statement
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Statements including words such as "believes," "expects," "anticipates," "intends," "estimates," "plan," "will," "may," "look forward," "intend," "guidance," "future" or similar expressions are forward-looking statements. Because these statements reflect SWK's current views, expectations and beliefs concerning future events, these forward-looking statements involve risks and uncertainties. Investors should note that many factors, as more fully described under the caption "Risk Factors" and elsewhere in SWK's Form 10-K, Form 10-Q and Form 8-K filings with the Securities and Exchange Commission and as otherwise enumerated herein, could affect the Company's future financial results and could cause actual results to differ materially from those expressed in such forward-looking statements. The forward-looking statements in this press release are qualified by these risk factors. These are factors that, individually or in the aggregate, could cause the Company's actual results to differ materially from expected and historical results. You should not place undue reliance on any forward-looking statements, which speak only as of the date they are made. We assume no obligation to publicly update any forward-looking statements, whether as a result of new information, future developments or otherwise.

 

 

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SOURCE SWK Holdings Corporation

FAQ

What is the purpose of SWKH's $5 million stock buyback?

The buyback aims to enhance shareholder value and represents an attractive use of capital.

When will SWKH's stock repurchase program commence?

The repurchase could start as early as July 15, 2021, subject to market conditions.

How long will the SWKH stock buyback program last?

The program is authorized until March 15, 2022.

What factors influence the timing and volume of SWKH's stock repurchases?

Factors include market conditions, the 10b5-1 trading plan constraints, and stock prices.